Global sports streamer DAZN has completed its acquisition of Foxtel Group from News Corp, marking a major milestone in its expansion into the Australian market.
Foxtel Group will continue to operate as a standalone business, while gaining access to DAZN’s global reach, cutting-edge technology, and investment in sports entertainment innovation. Popular platforms under the Foxtel umbrella, including Kayo Sports, BINGE, and Hubbl, will retain their brand identities and continue delivering the premium content Australian audiences have come to expect.
“This is an exciting day for DAZN and Foxtel Group and a significant milestone for DAZN as we expand our global footprint into Australia, a key sports market with passionate fans,” said DAZN CEO Shay Segev.
“Foxtel’s strong local presence, combined with DAZN’s global scale, technology, and content rights, will unlock incredible opportunities for sports fans, advertisers, and partners, while continuing to deliver great drama, lifestyle and news content”.
The deal sees Foxtel join DAZN’s international portfolio while remaining firmly rooted in its local market. According to Foxtel Group CEO Patrick Delany, the acquisition will allow the company to better compete with global streaming giants without sacrificing its Australian identity.
“DAZN’s ownership allows the Foxtel Group to remain an Australian-based business, with an Australian team and the sport, drama and entertainment that Australians love,” Delany said. “As part of DAZN, we now benefit from their global scale, their leading technology platform and their track-record in innovation that will allow us to more effectively compete with the global streaming giants.”
Delany also highlighted the global potential for Australia’s most beloved sports. “A big part of what drives us at Foxtel is bringing the best sports and the best sports production to our subscribers. We now have the opportunity to take the AFL and NRL, our two largest and most iconic Australian sports, to a massive global audience. For our Australian subscribers, it creates the opportunity to enjoy even more of the world’s best sports.”
The acquisition received approval from the Foreign Investment Review Board, the Australian Competition and Consumer Commission, and other regulators. At completion, DAZN repaid A$592 million in shareholder loans to News Corp, which also received a minority equity interest of approximately 6 per cent in DAZN. News Corp’s Deputy CFO Andrew Cramer has also joined DAZN’s board.
News Corp chief executive Robert Thomson praised Foxtel’s transformation under News Corp and welcomed the partnership with DAZN.
“Foxtel’s successful transformation to becoming a leading provider of sports and entertainment is a result of the team’s tenacity, creativity and professionalism. Foxtel employees should be proud of their contribution to that success in the ultra-competitive content contest,” he said.
“We are confident that DAZN is poised to drive the next phase of Foxtel’s growth and we are delighted to be DAZN’s partner and shareholder. And we are pleased to have extra capital strength and optionality.”
News Corp chief financial officer Lavanya Chandrashekar said the deal strengthens the company’s financial position and sharpens its strategic focus.
“The sale of Foxtel is significant for News Corp, and will enable greater focus on our core growth pillars, which drove over 95 per cent of Total Segment EBITDA in the Company’s fiscal second quarter,” she said. “It will also meaningfully strengthen our balance sheet, and should reduce future capital intensity and improve return on invested capital. We expect the disposition will also be accretive to earnings per share.”
Foxtel will gradually integrate with DAZN operations under the new designation “a DAZN Company,” ensuring a smooth transition for employees, partners, and customers while aligning itself with a global leader in sports entertainment.
